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Calculating the Value of an Electrical Hotspot

January 20, 2025

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Tip written by: Infraspection Institute

What is the financial liability of a hotspot within an electrical system? Probably less than you think since electrical hotspots waste surprisingly little energy even when operating at high temperatures.

Calculating the Value of an Electrical Hotspot

Over time, many have stated that the cost of infrared inspections can be justified through the detection and subsequent repair of hotspots associated with loose/deteriorated electrical connections. Although these types of defects can produce temperature rises of hundreds of degrees, the amount of energy wasted in the form of excess heat is often surprisingly small.

When detected in their formative stages, loose/deteriorated connections may contribute to only a few watts of energy loss. Even large temperature rises associated with significantly degraded connections will usually produce energy losses of less than 100 watts. We can calculate the financial impact of such an exception as follows:

 


0.1 kw x 24 hours = 2.4 kwh per day

2.4 kwh x 365 days per year = 876 kwh per year

 

876 kwh per year x $0.14 per kwh = $122.64 per year

It is important to note the above illustration is for an extreme hotspot operating undetected 24 hours per day for an entire year. While the above potential savings may seem significant, it would be hard to justify the expense of an infrared inspection program based upon energy savings alone. Justification would be even harder if the dissipated energy were only a few watts.

The real value of information obtained from infrared inspections comes from reducing unscheduled downtime, increasing reliability, improving safety, and avoiding losses associated with catastrophic failure.

Infrared inspection of power distribution systems is one of the many topics covered in the Level I Infraspection Institute Certified Infrared Thermographer® training course. For information on thermographer training or to obtain a copy of the Standard for Infrared Inspection of Electrical Systems & Rotating Equipment, visit us online at www.infraspection.com or call us at 609-239-4788.

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